Trade GBPUSD

GBPUSD

Buy

00.000

Sell

00.000

0.0

Change

0.0000

DAILY WEEKLY MONTHLY
0.000 0.000 0.000

Contract Specifications

Type Currency
Digit 5
Max Volume 100
Contract Size 100000
Tick Value 0
Tick Size 0
Category MAJOR
Min trade 0.01
Max trade 100
Step Size 0.01
Notinal Values Per 1 Lot 100000

FAQ

GBPUSD (also shown as GBP/USD) is a currency pair: the British Pound paired with the US Dollar. GBP and USD are both considered major currencies, meaning that these currencies are widely used in international trade and transactions. As a pair, GBPUSD is a favorite trading instrument for millions of traders in the world.

The value of GBP/USD indicates how many USD you need to purchase one GBP. For example, if GBP/USD is at 1.39 it means you need 139 USD to buy 100 GBP. GBPUSD is the third most traded currency pair in the world, after EURUSD and USDJPY. As of 2021, GBPUSD represents around 11% all daily transactions in the foreign exchange market.

In this pair, GBP is the base currency while USD is the quote currency. This pair is often shown up to 5th decimal. E.g. 1.39006. In this example, one pip move for GBPUSD is a 0.0001 move in either direction. If GBP/USD moved from 1.39007 to 1.39008, that means a one-pip move.
As is the case with all currency pairs, whatever impacts a single currency also has an effect on its pair. Factors that are most likely to impact the price of GBP/USD are as follows:

Role of USD:
US Dollar is the most traded currency in the world. Other assets are often paired with USD in order to measure their value accurately. Anything that would impact the USD will naturally impact any USD pair too.

FED and ECB decisions: The Federal Open Market Committee (FOMC) of the United States Federal Reserve System (FED) has huge impact on key monetary policy decisions in the US. The committee meets bi-monthly and makes decisions on interest rates and money supply. For example, higher interest rates in the US decrease the supply of USD in the market, because investors want to hold on to USD.

Employment Data: On the first Friday of every month, the US Department of Labor's Bureau of Statistics releases employment data for the previous month. The report is widely known as NFP (nonfarm payrolls) or 'US jobs report'. It is an influential statistic on the state of the labor market in America, and it has a direct influence on GBPUSD value.

Geopolitical tensions: Although unlikely, any political tension between the US and the UK would certainly impact the GBPUSD price. In times of political uncertainty, investors move away from a particular currency or a currency pair. They sometimes turn to alternatives or to ‘safe havens’ such as gold. Thus, any economic, political or financial development that impacts GBP or USD would definitely impact GBP/USD as well.

Role of GBP:
Despite the turmoil of Brexit, Britain’s economy is considered a stable and secure liberal economy with global integration. The overall health and stability of an economy plays the largest part when it comes to the price of a currency. As a largely stable, highly commercial and industrious country, UK is still one of the most influential economies in the world.

The GBP is the fourth most traded currency in world, behind the US dollar, the Euro and the Yen. Obviously, supply and demand for sterling determines the exchange rate of the pound. If demand for sterling goes up, then its price will too. Strong economies have strong currencies because other countries want to invest there. These countries are seen ‘less likely to fail’ in terms of investment.
It is a widely known fact that the foreign exchange and CFD markets are too volatile and unpredictable. No one can say for sure that there is a universal strategy for any product. Although the volatility is what attracts the investors, beginners may find it hard to adjust their trading or to adapt the fast-paced nature of the markets.

Monthly economic data from the UK comes out between 2 a.m. and 4:30 a.m. Eastern Time in the United States. Within the hour or two afterwards, we see the news flow impact the pound's value. The majority of European data becomes available around the same time as U.K. data. That makes it a great time to trade European currency pairs.

However, U.S. economic data is released between 8:30 a.m. and 10 a.m. Eastern Time. Though a bit an odd hour for Europeans to trade, this period also generates high GBP trading volume. There are good odds for strongly trending price action in several or all pairs. Japan releases receive less attention because they occur when the United Kingdom is in the middle of its sleep cycle.

Besides the general advice of catching trends via support and resistance levels, one should remember that trading GBP/USD is closely linked to GBP/EUR and even GBPJPY. That is why it is important to keep track of the other major pairs if you wish to trade GBP/USD.

As always, you should put protective stop-loss and adequate take-profit measures in play.
GBPUSD is a popular instrument in the currency market. You can start trading GBP/USD immediately with a free Blue Suisse account. If you are not ready, you can practice trading with a demo account. Follow these easy steps to start trading gold:

Step 1: Register by filling out the form on Blue Suisse website here.
• If you want to try our platforms first, you can start with a demo account instead.

Step 2: Finish your application by confirming your identity. We will ask for a proof of identity and a proof of address.

Step 3: Make your first deposit via secure methods, including credit card, bank transfer or others.

Step 4: Access a trading platform. Either install the software or access TradeMaster’s web version via your browser.

Step 5: Look for GBP/USD using the search function and start trading immediately.

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